Slide 1: Full Year & Q4 2011 Earnings Results
©\oactrust BANCORP,INC* Full Year & Q4 2011 Earnings Results March 2012
Slide 2: Forward-looking Statements
Executing on Growth Opactrust Forward-looking Statements BANCORP, INC When used in this presentation andin documents filed with or furnished to the Securities and Exchange Commission (the “SEC"), in press releases or other public shareholder communications, orin oral statements made with the approva
Slide 3: PacTrust Summary
Executing on Growth Opactrust Summary BANCORP (NC SEER Pac Trust is executing on its plans and promises of strong organic growth, the development of a high value community banking franchise and positioningas “consolidator of choice” in California ¥ Qé earnings impacted by resolution of legacy proble
Slide 4: PacTrust Earnings
Executing on Growth Opactrust Earnings RANCORLING EO —— SSS @ 2011 earnings were impacted by: — $4.8 million of OREO expenses related to clean-up of legacy assets; $3.0 million of this charge was taken in Q4 — $1.2 million of foreclosure expense on legacy assets — $3.6 million of added provisions fo
Slide 5: Loans
Executing on Growth Oedctrust Loans BANCORP,INC> Outstanding Loan Balances {amountsin $ milins/ annualized) © —Q4 2011 quarter end balance increased by $80 million, linked quarters to $774 million Sen 6.00% © Loan production grew by over 55% linked $750 5.00% quarters to $107 million © Loan yields d
Slide 6: Deposits
Executing on Growth O\pactrust Deposits BANCORP,INC> © —Q4 2011 ending deposits grew by $74.7 Outstanding Deposit Balances {amountsin$ millions /Ss annualized) million over Q3 to $786 million. $800 6.00% — 2011 de novo branch added $16.5 million in new deposits during Q4 2011 $750 5.00% © —Q4 2011 c
Slide 7: Net Interest Margin
Executing on Growth Opdctrust Net Interest Margin BANCORP, INC: @ At December 31, 2011 average coupon was Components of Net Interest Margin 3.67% reflecting new higher margin production {omountsin mins /annvatzes) booked in late December $900 $850 © Net interest margin for Q4 2011 was 23 bps lower t
Slide 8: Non-Interest Income
Executing on Growth Opdctrust Non-Interest Income BANCORP,INC> © =Q4 2011 non-interest income was $498 thousand; compared to Q3 2011 non- interest income of $2.0 million which included gain on sale of securities of $1.5 million Customer Service Fees amounts in $ thousands} $400 + $375 + @ Excluding
Slide 9: Non-Interest Expense
Executing on Growth Opdctrust Non-Interest Expense BANCORP.INC a ®@ —Non-interest expense increased by $3.6 Non-interest Expense million from $7.7 million in Q3 2011 to $11.2 {amountsin thousands million for Q4 $12,000 — $1.8 million in additional OREO charges $10,000 + — $1.9 million increase in op
Slide 10: Credit Metrics
Executing on Growth Opdctrust Credit Metrics ANCOR? | NC> Improved asset quality Delinquencies declined by 67% from $52.6 million at 12/31/2010 to $17.0 million at 12/31/11 Asset Quality Trends Early (30&60) and Late (90+) Delinquencies 9.0% {amountsin $mitions} $40 8.0% a~\ 7.0% \ $30 6.0% 5.0% $20
Slide 11: Credit quality
6) FIRS pa T ctrust Credit quality BANCORP, INC: Early delinquencies at December 31, 2011 were slightly higher than Q3, but still at lowest levels over 2010 and early 2011 — Expected to trend lower NPLs at their lowest levels of past 7 quarters OREO declined to $14.7 million vs. $20.6 million at Sep
Slide 12: Credit quality and provision
Executing on Growth Opdctrust Credit quality and provision ANCOR? | NC> Allowance for Loan & Lease Losses {amounts in $ millions /36) ® Added $4.1 million $16.0 90.0% provisions in Q4 2011, increasing the ALLL to net $14.0 Pa | 80.0% loans period-end ratio to i" 70.0% 1.6% vs. 1.3% linked $12.0 quar
Slide 13: OREO
Executing on Growth Opdctrust OREO AN CORP, INC: ——— ne sANCORP. TOTAL NUMBER OF ASSETS 1s 6 BOOK VALUE OF ASSETS S$ 7,177,929.49 $ 7,514,136.75 BREAKDOWN: RESIDENTIA\| 7.1 MM 2.6MM (1 home) commercial| 2.5MM (1 MER) Lano| $3.4M (4 Parcels) © Allproperties are written down to less than 91% of apprai
Slide 14: PacTrust Capital
Opdctrust Capital BANCORP, INC: © Continued strong capital position at Bancorp and Pac Trust Bank, despite some decline from September 30, 2011 levels — At December 31, 2011 total core capital to adjusted tangible assets stands at 13.08% and total risk-based capital ratio stands at 18.6% © ~FPTB’s t
Slide 15: Other items
6) FIRST pa ctrust Other items BANCORP, INC Executing on Growth Gateway merger Beach merger Securities total $101.6 million or 10.0% of assets Awaiting OCC approval; OCC granted © Awaiting FRB approval extension of application © Expected to close Q2 2012 © Expect to file waiver with FRB © Expected t
Slide 16: PacTrust Summary
Executing on Growth Opactrust Summary BANCOR | NCD SSS ¥ Q4 earnings impacted by resolution of legacy problem assets, execution of our growth strategies, strengthening of our ALLL coverage and DTA valuation allowance Vv Fullyear 2011 Pre-tax pre-provision earnings of $9.19 million, adjusted for OREO
Slide 17: Appendices
Opdctrust BANCORP,INC> Appendices
Slide 18: Non-GAAP Financial Information
Executing on Growth Opdctrust Non-GAAP Financial Information BANCORP, INC This presentation contains certain financial information determined by methods other than in accordance with accounting principles generally accepted in the United States (‘GAAP"). These non-GAAP financial measures include tan
Slide 19: Non-GAAP Financial Information (Continued)
Executing on Growth Opdctrust Non-GAAP Financial Information BANCORP,INC> ™ = (Continued) The following table presents a reconciliation of pre-tax pre-provision income to net income (dollars in thousands) For the For the For the Forthe Year Forthe Year Quarter Quarter Quarter ending ending ending en